info needed on bankrupty please

toffee_2

Ok myself and partner have debts totalling roughly 25 grand there all unsecured.They range from credit cards,store cards and 9 grand loan,we've tried always to sort this mess,i'm out of work and struggling to find work,my partner works part time and our income is made up with tax credits ect.

We've been in touch with cccs and they can't help us because they say we don't have enough income for them to help us out.I've been to cab 3 weeks ago and waiting for a money expert to get in touch about bankrupty but seems theres a long wait.They weren't very helpful when we went they couldn't really tell us anything about it apart from the costs you have to pay.But give them there due there appliying to britsish gas energy trust fund for help with the bankrupty fees.

Now i'm wondering if anyone on here and just give me a few pointers of what will happen.We live in a coucil house so they can't take that from us,i've got a car which i paided 1500 for over a year ago,would they take my car??.

Any info would be greatfully received i'm worried in case they start coming into the house to take goods to pay my debts off.Now we've got a tv which we paided 800 notes for about 5 years ago surely this will be worth nowt if it was sold.We've got a 3 piece suite which was bought on buy now pay later now we've missed the first payment for this,what would happen with this,would they come and reclaim it back from us of would they just take us to court to reclaim the money owed to them.The firm it came from was called walmsleys which has now closed due to money problems ect.

Thanks in advance toffee

lynzpower

Hi there Toffee :wave:

Sorry to hear of your situation, but believe me you are not alone.

Could you have a good read of Southern Scousers first time posters and read and do us an SOA. we can see if there are any savings and whether bankrupcy is the best thing for you and your circumstances, as there ar eother options.

Love
Lynz
xxx

ts_aly2000

Hi OP,

Bankcruptcy, not a problem Have a look at this site; http://www.debtquestions.co.uk/debt_forum/ There's all the information you could ever need there.

The CAB aren't too helpful with regards to BC issues as in all honesty they're not too clued up on it. It's very easy for someone to look and say, go bankcrupt without understanding it's implications.

A car at 1500, the OR (Official Receiver) likely wouldn't take any interest in. Once you get to about 2000/2500 they then start to take notice but not always. The television, 5 years old, they'd be lucky to get £50 for it at incolvency auction. Again, wouldn't be interested. The sofa could be a bit of a grey area though. Given that the manufacturer is in financial trouble, who knows, you could end up keeping it.

For baliffs to come to your property firstly requires a formal CCJ to begin the process, then it has to go to court again. What you need to be aware of is that ALOT of these DCAs (Debt Collection Agencies) give the impression that they're baliffs and that they have powers which they clearly don't. Even a baliff cannot force entry to your house, but you must never let them into it if they do call, and once they have set foot in your house they can then force entry.

You have two real options here.

#1 Offer everyone 10pence a month (you can't pay more to some and less to others..). Prepare a SOA (Statement of Affairs) showing all you income and outgoings and send it to them. Most WILL NOT accept and will refuse your offers continuing to threaten you with court. They'll lose!! No court in the land will make you pay more than you can afford.

It has to be said that alot of the DCAs like intimidating people, and that's all they do, intimidate people. Their powers in a court of law are extremely limited, alot of what they say is actually bull!!!!.

#2. Go bankcrupt. The upshoot of this is that you're protected entirely. Every debt you have or thought you ever had is wiped out. You can get up every morning and crawl about the floor in fits of laughter reading the barrarge of abusive letters from your creditors.

#3. Now there's a third. Let one of your creditors make you bankcrupt, although this is unlikely to happen, they'll threaten it yes, but the cost to them is about £1500 so isn't worth their while. This is heavily dependant on #1. and if you can stick the uncertainty for the coming 6-12 months. They certainly won't be quick about it.

Overall though you're in a pretty good position, if you ain't got the money, you ain't got the money, period. The upshoot of bankcruptcy is that you'll pretty much never get credit again, but personally in my case, I just don't understand this credit frenzy we live in today. I save for things if I want them bad enough, and then by whichtime I realise I didn't want them that badly enough in the firstplace, a mortgage is about the only credit I have an interest in.

Have a good look through that site; http://www.debtquestions.co.uk/debt_forum/ Put a post on there, read through their posts. You'll feel alot better afterwards.

And when you see the Jones's driving about in their brand new cars and 2.4 darling children, there's no need to be jealous as they're so up to their eyes in debt. And when it all comes crashing down they haven't a clue why. It only takes a few payments to be missed, for the uninformed to become depressed over the threatening letters. It's a knock-on effect.

The reality is that just about everyone in the country is in debt, just that to sleep at night they call it something else. They call it credit.

Chin up

Addicted2Chocolate

as you are unemployed the car canot be claimed as exempt so it will be an asset in the bankruptcy. It will either be taken and sold by agents at auction, or a 3rd party (friend/family) can purchase the Official Receiver's interest in the car. They have to make an offer in writing to the OR.
The value is not the issue: the OR can be personally liable if anything happens to a 3rd party as a result of the car: so the oR will even instruct agents to scrap a car with nil value.
The other assets are essential for somestic needs so woudl not be taken. Are you sure the sofa is not just an unscured laon? mostly they are, not hp/lease where they can come take the sofa back. DFS etc are laways unscured loans so bankruptcy debts they cannot claimmthe sofa.

toffee_2

Thanks for the replies i'm unemployed at this moment in time so i'll claim i need the car to help me find work.Things have just got worst has the houseing/coucil tax benifits have just wrote to us telling us we've been overpaided and that we owe nearly £500 on rent and more or less the same on the council tax.For the coucil tax there wanting £100 a month now to repay the money back.I'm going to fight this has i just can't pay it,considering the claim was only reassed{sp} 6 months ago yet they say they overpaided us for the last year.Will things ever get better or will i be like this for the rest of my life,this has really put me on a downer now which is made worst by the fact that the benifits place is shut so i'll now have to wait till monday to talk to someone.Anyone no a website where i can go and work this out and see what i should be paying for rent and coucil tax

BrandNewDay

Why don't you sell the car - take it to a dealer and try to get a fair price, get a couple of quotes in writing and take the best deal - and use that money to pay your immediate bills.

Your priorities should be keeping a roof over your head and food in your belly. I'm not sure, but I don't think you can put things like council tax, student loans, and parking fines into a bankruptcy. Anyway, use the money from selling the car to pay your rent and buy some food. This should give you a little time to fight the council on their possible overpayment mistake.

DO NOT pay any credit cards or other debts. You don't have the money for it. Ignore their letters and calls. Focus on what is important: keeping body and soul together until you can get to bankruptcy court.

What is your income at the moment? If your debts were wiped out, would you be able to scrape by?

Can you get a job within walking distance - any job?

toffee_2

BrandNewDay wrote:

Why don't you sell the car - take it to a dealer and try to get a fair price, get a couple of quotes in writing and take the best deal - and use that money to pay your immediate bills.

Your priorities should be keeping a roof over your head and food in your belly. I'm not sure, but I don't think you can put things like council tax, student loans, and parking fines into a bankruptcy. Anyway, use the money from selling the car to pay your rent and buy some food. This should give you a little time to fight the council on their possible overpayment mistake.

DO NOT pay any credit cards or other debts. You don't have the money for it. Ignore their letters and calls. Focus on what is important: keeping body and soul together until you can get to bankruptcy court.

What is your income at the moment? If your debts were wiped out, would you be able to scrape by?

Can you get a job within walking distance - any job?

I no what your saying regarding the car but i need my car has the local town is 10 miles away,doctors and everything i need is in this town.So to go to the job centre,shopping,doctors,schools ect i really need a car to be able to get there instead of relying on public transport.Tbh if i sold the car i'd be lucky to get £600 for it now has it's looking tatty with rust showing on it.

I've not paided any loans/cards ect for a few weeks now has i'm focussing all my attention on household bills like the rent,tax,gas ect.The cab told me not to pay them and to pay my household debts instead.It's been a few weeks now since i had a meeting with cab,so on monday i'm going to ring them to see whats happening with regards to my meeting with the money expert people at cab.I really want to get this into gear now,i got a letter this morning of a debt collection place in bold lettering that they demand payment.I've kept all the letters in a file to show the courts if needed about the way there writing to me demanding stuff,when i've already explained my postion at this moment in time.

Addicted2Chocolate

you cant claim a car as exempt if you are unemployed: there is no way. only is you are working as of the date of the Bankruptcy Order AND can proove it is essential for work (ie you cant use public transport and would be unemployed without it) can you apply for it to be exempt.